MIS Can Add Value to Both Primary and Support Activities

question 184

Multiple Choice

MIS can add value to both primary and support activities within a business. Which of the following is not an example of a company adding value by the use of MIS in a support activity?

• A) Netflix creating a business strategy for the video rental market that delivers videos via the mail
• B) The human resources department creates a tracking system to efficiently reward employees based on their performance
• C) Scottrade Corp. creating an online system for employees to track paychecks, benefits, wellness rewards program, and other employee benefit items
• D) The University of Forks creates a program to automatically order office supplies such as pens and pads of paper for its employees

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Definitions:

Deferred Tax Liabilities

A tax obligation recorded on a company's balance sheet that results from temporary differences between the tax basis of assets or liabilities and their reported amount in the financial statements.

Deferred Tax Assets

Financial items on a company's balance sheet that reduce future tax liability due to temporary differences between the accounting and tax treatment of assets and liabilities.

Deferred Tax Liabilities

Future tax payments owed to tax authorities due to temporary differences between accounting income and taxable income.

Municipal Bond

A debt security issued by municipalities to finance its capital expenditures, often tax-exempt for investors.